Richmond real estate mogul arrested for tax fraud

Billy Gene Jefferson

RICHMOND, VA (WWBT) -

The head of a well-known real-estate management company is accused of stealing millions from the Commonwealth. 51-year-old Billy Gene Jefferson has been arrested and charged with eight counts of forging public documents.

According to Virginia State Police, the charges stem from the submission of false documents to the Virginia Department of Historic Resources.

Police say, the submission of the false documents has resulted in over two million dollars in tax fraud to the Commonwealth of Virginia.

Jefferson runs River City Real Estate, which is known for revamping two historic properties on Stockton Street in Southside Richmond: the Parachute Factory and Tobacco Factory.

In the Fan, River City's sister company, Historic Properties Management, rents out dozens of apartments.

Now, the future of this prominent corporation is uncertain after Jefferson's arrest.

Jefferson was arrested by Virginia State Police Wednesday morning in the 3000 block of West Cary Street. He was arraigned Thursday morning and was released on a $10,000 secured bond.

NBC12 went to Jefferson's Monument Avenue mansion but there was no answer. We also went to his company's office but their employees had no comment. An email to Jefferson's attorney went unanswered.

Jefferson's River City Real Estate is not without controversy. The Better Business Bureau gives the company an F for the number of unresolved complaints.

Last year, a man killed two people in the Tobacco Factory over dog feces.

In 2011, Jefferson's former business partner Justin French was convicted of fraud, after doing then what Jefferson is accused of doing now.

The next time Jefferson will be in court is for his preliminary hearing on May 14.